Plumb Placements for 2024 Citywealth Magic Circle Awards

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Plumb is proud to announce that we’ve placed in two categories for the 2024 Citywealth Magic Circle Awards:

  • Technology Innovators of the Year (Winner)
  • UNHW Private Client Services of the Year (Runner Up)

The Magic Circle Awards recognize the accomplishments of professionals and firms working with high-net-worth individuals and families. The awards are presented in London in front of an esteemed audience comprised of over 400 professionals representing over 140 diverse organizations.

Following a rigorous submission process, the submissions are assessed and judged by a panel of private wealth advisors. Online voting is also open to the public, and counts for 10% of the final award vote.

Our proprietary Plumb Bill Pay App is a big reason we have been included in these awards. To learn more about our services and our Plumb Bill Pay App, please watch this brief overview video and reach out to schedule a personal demo.

Plumb delivers financial peace of mind by assisting high-net-worth individuals and family offices know where their money is going, so their trusted advisors can effectively manage it. We work in partnership with their team — including wealth, CPA, and other advisors — to provide the highest quality of data and financial reporting to establish a holistic view of their assets and financial holdings. We’d love to help answer any questions you may have. Feel free to schedule time to speak with Anneke Stender, our EVP, at your convenience.

Navigating Security Concerns: Traveling Tips for High Net Worth Individuals and Families

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As warmer months quickly approach, high net worth individuals (HNWIs) and their families are gearing up for vacations and travel adventures around the world. However, amidst the excitement of planning luxurious getaways, it’s crucial not to overlook the paramount importance of security. Whether for business or leisure, jet-setting across the globe comes with its own set of unique challenges, particularly concerning security. From cyber threats to physical safety risks, navigating these concerns requires careful planning and strategic measures. Let’s delve into some essential tips and security considerations to ensure safe and enjoyable getaways.

Cybersecurity Vigilance

In an age dominated by digital technology, cyber threats pose a significant risk, especially for individuals with substantial assets and sensitive information. Summer traveling exacerbates these risks, as individuals often rely heavily on digital devices for communication, navigation, and entertainment while on the move. To mitigate cybersecurity risks:

  1. Secure Devices: Ensuring all devices, including smartphones, tablets, and laptops, are equipped with updated antivirus software and security patches to fend off potential cyber attacks.
  2. Use Secure Networks: Avoiding connecting to unsecured public Wi-Fi networks, as they are prime targets for hackers. Instead, opting for trusted networks, virtual private networks (VPNs), or utilizing a personal hotspot with robust encryption.
  3. Beware of Phishing Scams: Exercising caution when accessing emails or messages, particularly those containing suspicious links or attachments. Phishing scams often escalate during peak travel seasons, aiming to exploit unsuspecting individuals.
  4. Secure Credentials: Use an online password storage system, like Keeper Security, Lastpass, etc., to store usernames, passwords, and other sensitive information to keep it safe from cybercriminals.

Physical Security Precautions

Beyond the digital realm, physical safety remains a paramount concern for HNWIs and their families. Whether exploring exotic destinations or relaxing at lavish resorts, adopting the following precautions can enhance security:

  1. Personalized Security Detail: Depending on the level of perceived risk, engaging the services of professional security personnel can provide an added layer of protection, especially in high-risk regions or during high-profile events.
  2. Secure Accommodations: Opting for reputable hotels and resorts with robust security measures in place, such as controlled access, surveillance cameras, and 24/7 security personnel. Prioritize accommodations that offer privacy and seclusion without compromising on safety.
  3. Traveling Light and Keeping Low-Profile Travel: Minimizing conspicuous displays of wealth, such as expensive jewelry or designer attire, can help avoid attracting unwanted attention from potential threats. Pack light and only carry essential items to reduce the risk of theft or loss.

Emergency Preparedness

Despite best-laid plans, unforeseen circumstances can arise, requiring swift and decisive action. HNWIs and their families can prioritize emergency preparedness by:

  1. Maintaining Emergency Contacts: Keeping a list of essential contacts, including local authorities, embassy or consulate information, and trusted security personnel, readily accessible can facilitate prompt assistance in the event of an emergency.
  2. Travel Insurance Coverage: Investing in comprehensive travel insurance that extends coverage to medical emergencies, evacuation services, and trip cancellations due to unforeseen events can provide peace of mind and financial protection against potential losses.
  3. Risk Assessment and Contingency Planning: Conducting thorough risk assessments prior to travel, identifying potential threats, and developing contingency plans can enable swift and effective responses to adverse situations, minimizing the impact on personal safety and well-being.

Conclusion

Traveling offers endless opportunities for relaxation, adventure, and cultural exploration for HNWIs and their families. However, prioritizing security is paramount to ensure a safe and enjoyable experience. By remaining vigilant against cyber threats, implementing physical security precautions, and prioritizing emergency preparedness, HNWIs can navigate the complexities of travel with confidence and peace of mind. Remember, proactive measures and careful planning are the keys to a secure and memorable vacations.

Digital Wallets and HNWI: Balancing Convenience with Security in Mobile Payments

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For high-net-worth individuals (HNWIs), while convenience and saving time is valued highly, when it comes to managing their finances, security is one of the most important concerns. Digital wallets have emerged as a popular option for mobile payments, offering a blend of both convenience and security. However, for wealthy individuals, the question remains: do digital wallets offer the right balance of these two critical factors?

 

Let’s first define a digital wallet. According to Investopedia, a digital wallet is a financial application that allows you to store funds, make transactions, and track payment histories on devices like phones and tablets. So, think in terms of Apple Pay, Google Pay, CashApp, PayPal, Venmo, and Zelle – to name a few.

 

Digital wallets offer advantages that are particularly appealing to high-net-worth-individuals:

  • They allow users to store multiple payment methods in one secure location, eliminating the need to carry around a bulky wallet full of cards.
  • Payments can be made quickly and easily with just a tap or a click, streamlining the checkout process both online and in-store.
  • Many digital wallets offer features such as loyalty programs and bill pay, further simplifying financial management.

 

Despite the convenience they offer, digital wallets also raise security concerns for HNWIs. Some of these concerns include:

  • Data breaches: If a digital wallet provider is hacked, the financial information of its users could be compromised.
  • Malware: Malicious software can be used to steal data from digital wallets or even take control of them altogether.
  • Loss or theft of devices: If a high-net-worth individual’s phone or other device that stores their digital wallet is lost or stolen, their financial information could be at risk.

 

In light of these concerns, there are a number of steps that can be taken to mitigate the security risks associated with digital wallets:

  • Choose a reputable provider: Use a digital wallet from a well-established company with a strong track record of security.
  • Enable strong authentication: Use strong passwords, PINs, multi-factor authentication (MFA), or even biometric authentication (such as fingerprint or facial recognition) to secure your digital wallet.
  • Keep your software up to date: Make sure your phone and digital wallet app are always up to date with the latest security patches.
  • Monitor your transactions: Regularly review your digital wallet transactions for any suspicious activity.
  • Be cautious about public Wi-Fi: Avoid using public Wi-Fi to access your digital wallet, as this could make it easier for hackers to steal your information.

 

The Future of Digital Wallets for HNWIs

 

As digital wallet technology continues to evolve, we can expect to see even more features and security enhancements designed to address the concerns of HNWIs. However, the bad actors and fraud-perpetrators out there are also becoming more savvy and sophisticated making security vigilance a top priority for high-net-worth individuals and those who help manage their finances.

 

Digital wallets offer a convenient way for HNWIs to manage their finances. By taking appropriate precautions, HNWIs can minimize the risks and enjoy the benefits of this innovative technology.

 

Expense Tracking for Wealthy Individuals: Tools and Strategies for Comprehensive Financial Oversight

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For high-net-worth individuals, managing finances extends beyond simply tracking income and expenses. It’s about gaining comprehensive oversight of a complex financial landscape that may include investments, trusts, real estate, and more. In this context, meticulous expense tracking becomes an essential tool for informed decision-making, optimizing wealth preservation, and achieving financial goals.

 

Let’s start with the basics. Why track expenses?

 

Expense tracking for wealthy individuals offers several unique advantages:

 

  • Identify spending patterns. Track where your money goes, from regular bills to occasional indulgences. This reveals areas for potential cost-cutting or strategic reallocation of funds.
  • Monitor asset performance. Track the specific expenses related to various assets like vacation homes, yachts, or art collections.
  • Inform investment decisions. Understanding spending habits can help to guide investment strategies. If you know how – and how much – is being spent, you can better determine the types of investments you should be making.
  • Catch mistakes before they happen. With exact and itemized expenses, it’s easy to spot something that doesn’t look right.
  • Ensure tax compliance. Accurate expense records are crucial for tax preparation and audits, especially for charitable giving. When expense tracking is set up properly it can help save both time and money with tax preparation.
  • Achieve financial goals. Tracking expenses against set goals, like saving for a second home or philanthropy, keeps you on track.

 

There are also a few effective expense tracking strategies that we suggest to all our high-net-worth clients.

 

  • Set clear goals. Define your financial objectives and tailor your expense tracking to monitor progress towards them.
  • Choose the right tools. Select a tool that aligns with your needs, preferences, and level of financial complexity. For example, the Plumb Bill Pay app is a great tool for providing clarity into finances.
  • Categorize meticulously. Create custom categories to accurately reflect your spending patterns and identify areas for improvement. At Plumb, we create the categories that best suit our clients’ needs so they can see their expenses exactly how they want to see them.
  • Review regularly. Schedule regular time to analyze your spending data and identify trends or areas for adjustments. Plumb provides customized reporting to our clients, as frequently as they need, with as much detail as they want.
  • Seek professional guidance. Consult a financial advisor or wealth manager for personalized recommendations and strategies, and seek outsourced bill payment and accounting support – like the experts at Plumb – to ensure effective management of your expenses.

 

Remember, expense tracking is about gaining valuable insights into your financial behavior, making informed decisions, and ultimately, achieving your long-term financial goals. By embracing effective tracking strategies and utilizing the right tools, wealthy individuals can transform expense management from a chore into a powerful tool for financial empowerment.

 

Take the Next Step Towards Financial Ease and Clarity: Experience the benefits of secure and streamlined expense management. Contact us at sales@thinkplumb.com to discuss how our outsourced bill payment services can enhance accuracy, save time, simplify record-keeping, and reduce stress, and fortify the security of your financial transactions. Your peace of mind is our priority.

Time is Money: The Power of Bill Payment Apps

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Traditionally, bill payment involved manual processes, requiring individuals and advisors to gather bills, write checks, and track payments meticulously. For HNWIs with complex investment holdings, this means dedicating considerable time and resources to monotonous administrative tasks.

 

Enter bill payment apps, which have transformed the landscape by offering intuitive platforms that centralize and automate the entire payment process. These innovative platforms are revolutionizing the way HNWIs and their advisors handle financial obligations, introducing efficiency and automation into a previously cumbersome process. These apps allow users to aggregate bills from various sources, including utilities, credit cards, mortgages, and subscriptions, into a single dashboard. Through secure integrations with bank accounts and financial institutions, bills are automatically retrieved and presented for review, eliminating the need for manual data entry.

 

The Plumb Bill Pay app is the perfect example of a game-changing app, and was developed and built exclusively by Plumb to address the issues and challenges faced by our high-net-worth clients and their advisors.

 

Here’s how bill payment apps, and the Plumb Bill Pay app in particular, save HNWIs and advisors precious hours:

  • Streamlined Workflow: Bill pay apps automatically categorize, prioritize, and schedule bills for payment. This ensures timely settlements without the need for constant oversight, eliminating countless hours spent on paperwork and data reconciliation. Additionally, these apps offer customizable alert systems, notifying users of upcoming due dates, payment confirmations, and unusual activity, thereby enhancing transparency and security.
  • Enhanced Visibility: Gone are the days of scrambling for missing invoices or chasing down overdue payments. Bill payment apps provide real-time visibility into spending patterns and cash flow dynamics, offering personalized insights and recommendations, empowering users to make informed financial decisions. {Read about the Plumb Bill Pay app Commitments module and how it provides clarity and insights.}
  • Reduced Errors: Manual processing is prone to human error. Bill payment apps minimize the risk of mistakes with automated payments, ensuring accuracy and timely payments.
  • Improved Security: Traditional paper-based systems are vulnerable to fraud and theft. Bill payment apps offer robust security measures such as multi-factor authentication and encryption, to safeguard sensitive financial information. {Learn more about just some of the ways Plumb provides the most stringent digital security here.}
  • Advisor Efficiency: For financial advisors, managing bill payments for multiple clients can be a time-consuming burden. Bill payment apps allow advisors to delegate and automate tasks, freeing up their time to focus on strategic financial planning and client relationships.

 

Bill payment apps have emerged as indispensable tools for HNWIs and their advisors, offering unparalleled convenience, efficiency, and security in managing financial transactions. By streamlining the bill payment process, these platforms liberate valuable hours that can be redirected towards more productive endeavors, ultimately empowering individuals to achieve their financial goals with confidence and peace of mind.

 

Plumb Bill Pay + Sage Intacct Use Cases for Multiple Real Estate Holdings

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Many of Plumb’s high-net-worth clients manage diverse portfolios with multiple real estate investments, and we are experts at assisting them with their bill pay and accounting needs. Our team ensures accurate, timely financial management and reporting, allowing clients to focus on growing their investments with confidence.

How do we do this?

  • Property Management:  We understand how pivotal it is to record and track complex financial transactions related to property management.
  • Financial Consolidation and Reporting: We provide crucial consolidated, accurate, and timely reporting needed for clear visibility into each property and overall portfolio.
  • Budgeting and Forecasting: We create budgets and forecasts that allow our clients to make more strategic decisions.

Plumb works with HNWI clients with multiple real estate holdings.

We have decades of experience helping high-net-worth-individuals manage the accounting of their real estate holdings. We’d love to help answer any questions you may have. Feel free to schedule time to speak with Anneke Stender, our EVP, at your convenience.

Cash is King (But Not Really): The Shifting Landscape of HNWI Payments

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If it seems like there are an overwhelming number of payment options on the market today, it’s because there are. Gone are the days where the only choices were scrambling for your checkbook, searching for a pen, and writing out a check or physically handing over cash.

We applaud these technological advances in payment – as bill pay experts we hold a special place in our hearts for all FinTech payment developments – but we also understand that with options come confusion and uncertainty.

  • How do you know which payment method is best to use?
  • What are the benefits of each?
  • And what are the pitfalls?

We’ve been working with high-net-worth individuals for decades, and we understand their unique financial needs. We also know that choosing the right payment method – especially for our clients – isn’t a one-size-fits-all affair. From art purchases to philanthropy, understanding the nuances of popular payment options like credit cards, wire transfers, ACH payments, Venmo, PayPal, and Apple Pay can make a world of difference.

We’ve put together this helpful guide to outline the advantages, challenges, and special considerations for high-net-worth individuals of the most popular payment options currently available.

(Also – don’t miss out on the additional tips we provide at the end of this guide.)

Credit Cards

  • Advantages: Convenience, rewards programs, purchase protection, building credit history.
  • Challenges: Interest charges, credit score dependency, spending limits.
  • HNWI Considerations: Premium cards offer higher limits, travel benefits, and concierge services.

Wire Transfers

  • Advantages: Fast, secure, large transaction capability, international transfers.
  • Challenges: High fees, limited real-time tracking, irreversible in case of errors.
  • HNWIs Considerations: Negotiate reduced fees with banks for high-volume transfers.

ACH Payments

  • Advantages: Lower fees than wire transfers, recurring payments, direct bank account transfers.
  • Challenges: Slower than wire transfers, limited international use, potential return fees for insufficient funds.
  • HNWIs Considerations: Ideal for payroll, bill payments, and large domestic transactions.

Venmo & PayPal

  • Advantages: Peer-to-peer convenience, fast for small transactions, social features (Venmo).
  • Challenges: Limited transaction amounts, security concerns, potential fees.
  • HNWIs Considerations: Primarily for casual transactions with trusted individuals.

Apple Pay

  • Advantages: Contactless convenience, security with Face ID/Touch ID, integration with Apple ecosystem.
  • Challenges: Limited merchant acceptance, potential fraud risk, requires compatible Apple devices.
  • HNWIs Considerations: Useful for everyday purchases, but not suitable for large transactions.

Additional Tips for High-Net-Worth Individuals and Payment Methods:

  • Diversify payment methods based on transaction type and size.
  • Prioritize security by using trusted platforms and strong passwords.
  • Understand potential fees from financial institutions.
  • Seek professional advice from wealth managers for complex financial transactions.

Ultimately, the best payment method for HNWIs depends on the specific transaction. Credit cards offer rewards and convenience for everyday purchases, while wire transfers are essential for large, time-sensitive transactions. Venmo and PayPal facilitate casual payments between individuals, while Apple Pay provides effortless everyday spending. Understanding the strengths and limitations of each option empowers HNWIs to make informed financial decisions and navigate the payment landscape with ease.

And when in doubt, reach out to your trusted advisors and outsourced service providers (like Plumb) for help navigating this newly complex world of payment options.

Take the Next Step Towards Financial Ease and Clarity: Experience the benefits of safe and streamlined bill pay management. Contact us at sales@thinkplumb.com to discuss how our outsourced bill payment services can enhance accuracy, save time, simplify record-keeping, reduce stress, and fortify the security of your financial transactions. Your peace of mind is our priority.

5 Reasons Why Pricing Transparency Matters to High-Net-Worth Clients

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A common misconception about affluent people is that they don’t worry about their expenses. On the contrary, not only do they worry about the entirety of their financial picture – costs and spending included – but many of them like to be intimately involved with the management and strategy surrounding their wealth. Perhaps most importantly, these clients need to feel that they can trust the people they work with to provide not only accurate and timely information, but also the security and confidentiality they require.

Nobody likes surprises when it comes to expenses, and high-net-worth individuals are no exception. These clients want to understand the pricing of services upfront. Providers will lose a lot of trust and credibility if they hide fees or sneak in any “gotcha” charges.

When reviewing pricing – and the value of the services you provide – with high-net-worth clients, it is crucial to be straightforward and open about any costs they might incur.

Here we list the top 5 reasons why pricing transparency matters to HNWI clients – and why it should matter to you.

Reason #1: Confidence

Pricing transparency helps build trust and confidence in the client and outsourced provider relationship by demonstrating openness and honesty. When clients understand what they are paying for and why, they are more likely to have faith in their advisors. This in turn can pave the way for a long and successful working relationship.

Reason #2: Clarity

Clarity is a vital aspect of any type of communication and with any relationship – especially one in which you are trying to build trust. When well-defined and transparent pricing information is provided, your clients (or prospective clients) will have a clear understanding of your costs so that they can better evaluate your services. There should be no hidden fees or surprises. When the cost of the services you charge for is clear, you help to eliminate any misunderstandings while strengthening your relationship with your clients.

Reason #3: Comparison

Part of evaluating any new service involves speaking with different providers and gaining an understanding of who they are, what they provide, and what value they offer. Without knowing precisely the cost of these services, it is impossible to compare the different options accurately. Additionally, providing context around industry standards and benchmarks related to your costs can be tremendously helpful. (Even if your costs are higher than the industry standard – this is your opportunity to explain why you charge a premium.)

Reason #4: Conflict {Avoidance}

Transparency in pricing can help mitigate conflicts of interest in the wealth management industry. When clients know how their advisors and service providers are compensated, they can better assess whether any recommendations are driven by their best interests and not by financial incentives. When advisors and service providers are transparent in their costs it can reduce the likelihood of any recommendations that benefit them more than their clients. It also brings peace of mind to the client knowing that their best interests are the only elements factored into proposals and suggestions.

Reason #5: Loyal Clients

Proving clear, transparent, and easily understood pricing to high-net-worth clients also contributes to the stability and longevity of these relationships. When clients feel that they are treated fairly and that their advisors and service providers are upfront about costs, they are more likely to remain loyal clients and refer their peers. (And who doesn’t love a solid referral?)

At the end of the day, high-net-worth clients would like to understand exactly what services will be provided and exactly what the cost will be. Being upfront and providing clarity in costs will help to establish a strong foundation of trust for a long-term, successful relationship.

Get the Financial Clarity and High-Touch Support You Need: Contact us at sales@thinkplumb.com to explore how Plumb’s expertise can elevate your bill pay and accounting experience. Let us tailor solutions to meet your unique financial goals, providing the clarity and specialized attention your wealth deserves.

 

Plumb Bill Pay App: Digital Dashboards

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Navigating the complex financial landscape of high-net-worth individuals can be like piloting a yacht through dark and uncharted waters.

Their financial complexity arises from a mix of substantial, diverse assets, complex investment strategies, and significant monthly expenses. For these individuals, having a clear and organized view of their income sources and expenditures each month is essential. Without this transparency, making informed and strategic financial decisions becomes exceedingly challenging.

This is where the importance and benefits of digital dashboards come into play.

What are digital dashboards?

Digital dashboards are a user-friendly way to present data and financial information. They provide high-net-worth clients and their advisors with an uncomplicated way to check their financial performance while offering the option to drill down into the details of specific entities, assets, or expenses – anything that the client or their advisor is interested in seeing in greater detail.

Why use a digital dashboard?

There are many benefits to utilizing digital dashboards – especially for HNWI. We have listed the top five benefits here:

  • Clarity: Provides a clear overview of wealth that allows clients and advisors to visualize total assets, liabilities, cash flow, and net worth. (The dashboard on the proprietary Plumb Bill Pay App also provides a balance snapshot and a list of upcoming payment commitments.)
  • Convenience: Gives the client and advisor the convenience of real-time updates, removing the concern of looking at data that is already outdated.
  • Access: A mobile app, like the Plumb Bill Pay App, delivers access to financials on the go – anytime, anywhere.
  • Customization: Offers personalized and customized data and reporting so the client can see precisely what they want and need to see – the information that is most important to them. This customization eliminates the need for clients and advisors to pick through data they do not want or need, and it eliminates the need for them to request additional data that has not been provided.
  • Comprehension: Presents financial data in an easy-to-understand layout making the essential information clear and accessible for all levels of financial expertise.

Digital dashboards cut through the complexity of HNWI finances, offering instant clarity and streamlined management. Their visual data formats empower clients and advisors to see the flow of money, make informed decisions, and maximize wealth.

With Plumb you can have access to your bill pay data – anytime, anywhere. Contact us at sales@thinkplumb.com to learn more about our bill pay app and how Plumb can help you and your clients focus on the big picture, while we focus on your bill pay and accounting needs.

plumb digital dashboards

Bill Pay Freedom for HNWI Clients: 5 Steps to Choosing the Right Bill Payment Service

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As a financial advisor, you understand the time and stress your HNWI clients face managing their complex financial affairs. Bill payments often become a burden, eroding their valuable time and focus.

But what if there was a way to free them from this tedious task? Here are some key factors to consider when choosing the right bill payment service for your HNWI clients, empowering them to focus on what truly matters.

  1. Partner with a Trusted Expert

Look for a provider with a proven track record serving HNWI clients, like Plumb. Established in 1996, we possess the expertise and experience necessary to navigate the intricacies of high-net-worth finances.

  1. Prioritize Security and Personalization

Your clients’ data security is paramount. Choose a service with robust security protocols and encryption, ensuring their privacy and financial information remain safeguarded. Additionally, seek a provider offering customized solutions that cater to each client’s unique needs and preferences.

  1. Embrace Technological Innovation

Technology plays a crucial role in efficient bill management. Explore platforms that are user-friendly and intuitive, like Plumb’s proprietary bill pay app, designed specifically for HNWI needs.

  1. Transparency is Key

Clear communication regarding fees and value propositions is essential. Choose a service that transparently communicates its pricing structure and demonstrates the tangible benefits it offers your clients.

  1. Seamless Integration and Ongoing Support

A smooth transition is critical. Opt for a service that seamlessly integrates with your clients’ existing financial team, including accountants, attorneys, and estate planners. Plumb fosters collaboration and ensures a smooth onboarding process.

Unburden Your Clients and Empower Their Financial Future

By choosing the right bill payment service, you can free your HNWI clients from the burden of mundane tasks, allowing them to focus on their financial goals and personal priorities.

Let Plumb take care of the bills while you concentrate on building your clients’ financial wealth and well-being. Contact us at sales@thinkplumb.com to learn more about how Plumb can help you and your clients focus on what you both want to focus on – and leave the bill payment to us.